Vizio has grown immensely popular over the last few years and one of the big reasons is that their televisions are cheaper than many others and deliver comparable if not better features. Many may think that Vizio is able to achieve this by using cheaper, inferior parts but the answer is more complex.
The reality is that Vizio doesn’t actually make any televisions. It works with other companies who do make televisions and they put their name on them. They spend their money on marketing while the companies they partner with spend billions on research and development. This frees up a lot of money for the California company.
In addition to marketing, Vizio has spent a lot of time and money focusing on distribution. If you walk into a Walmart, Costco, or Sam’s Club you’re going to spot several Vizio sets for sale. This has enabled Vizio to be considered a top brand along with Samsung, Sharp, Toshiba, and Sony.
As time goes on, their ability to keep their costs low will dictate how aggressive they can be with their prices. Other brands are cutting prices which may not be good for Vizio, but is great for people in the market for a new HDTV.
[Source: Engadget HD]
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